Of the total $2.49 trillion in outstanding US consumer debt-up from $2.48T last month- total outstanding revolving credit was up 4.1% in December. Not as dramatic an increase from the 8.5% increase in November, revolving debt totaled $801.0 billion for the month from the previous month figure of $792.7 billion and the October total of $801.0 billion. This compares to the year ago figure of 799.7. Revolving consumer credit is reaching complacently higher toward its peak of $973.6 billion, from which it plummeted a staggering $179.6 billion since August 2008.
Having consistently fallen over the two and a half years since the jaw-dropping maximum, retail customers appear to have let their discipline fall by the wayside and charging more, especially with the onset of the holiday season. This comes at a time card issuers are seeking new ways to grow responsibly and are increasingly focusing on the non-prime consumer market, indicating credit standards are beginning to loosen. With card issuers continue to work through elevated charge-off levels, they are focusing on new segmentation approaches and using new analytics and data types. January 2012 figures hopefully will unveil a return to the fiscally conscious consumer we saw so much of in 2011.
